Reliance Industries Ltd (RIL) is about to elevate Rs 7,350 crore from investors — Singapore’s sovereign wealth fund GIC and Global opportunity asset company TPG — via way of means of promoting a stake withinside the group’s retail arm.
Through separate offers, Reliance Industries will promote 1.sixty three percentage stake in Reliance Retail Ventures Limited (RRVL). GIC will make investments Rs five,512.five crore for 1.22 percentage percentage in RRVL, even as TPG will make investments Rs 1,837.five crore to shop for 0.forty one percentage stake withinside the retail arm.
The investments value Reliance Retail at a pre-money equity value of Rs four.285 lakh crore. In much less than 3 days, Reliance Industries has entered into 5 offers to promote stake in RRVL.
Earlier, on October 1, RIL introduced Abu Dhabi-primarily based totally sovereign wealth fund Mubadala Investment Co could make investments Rs 6,247.five crore to shop for a 1.four percentage stake in its retail arm.
On September 30, international non-public fairness company General Atlantic picked up a 0.eighty four percentage stake withinside the corporation for Rs 3,675 crore.
Also, US PE investor Silver Lake made a 2nd funding of Rs 1,875 crore, taking its overall fund infusion in Reliance Retail to Rs 9,375 crore for a 2.thirteen percentage stake.
Commenting at the development, Mukesh Ambani, the chairman and dealing with director of Reliance Industries, said,”I am delighted that GIC, with its track record of close to four decades of successful long-term value investing across the world, is partnering with Reliance Retail in its mission to transform the Indian retail landscape.”
GIC’s international community and music file of long-time period partnerships could be precious to the transformation tale of Indian Retail. This funding is a sturdy endorsement of our method and India’s potential, he said.
GIC Chief Executive Officer Lim Chow Kiat said: GIC is thrilled to companion with Reliance thru this new funding, in an effort to allow the corporation to place Reliance Retail for the sturdy secular boom in India’s retail market.
On the TPG deal, Isha Ambani, Director of Reliance Retail, said,”We are delighted to welcome TPG to the Reliance Retail family in our journey of revolutionizing the Indian Retail landscape and improving the economic prospects of millions of merchants and enhancing the consumer experience. TPG’s rich experience will be invaluable to the Reliance Retail mission.”
